Automotive Stocks: The Effect of Tariffs on Shares of Popular Automakers

The Trump Administration announced on Wednesday, March 26, 2025, a 25% tariff on imports of automobiles and certain automobile parts, aiming to bolster US manufacturing and protect national security.⁽¹⁾

Unsurprisingly, it sent shockwaves through the automotive industry and financial markets — consumers rushed to buy cars ahead of potential price hikes, and investors scrambled to assess the fallout.⁽²⁾ According to Finder data, there was plenty of fallout.

To add to the uncertainty, on Monday, April 14, 2025, President Trump suggested he might temporarily exempt the auto industry to allow carmakers time to adjust their supply chains.⁽³⁾

The following data is of automaker stock price action through market close on April 14, 2025. Explore data of automaker stocks and the impact of auto tariffs globally to see which auto stocks have stalled — or accelerated — since tariffs hit.

Trump’s tariffs on automobiles

The Trump Administration announced on Wednesday, March 26, 2025, a 25% tariff on imports of automobiles and certain automobile parts, aiming to bolster US manufacturing and protect national security.⁽¹⁾

The executive proclamation imposes a 25% tariff on all cars shipped to the US, effective April 3, 2025. Tariffs on key auto parts — engines, transmissions, powertrain parts and electrical components — will follow on May 3.⁽⁴⁾

The White House expects the auto tariffs to raise $100 billion in revenue annually.⁽⁵⁾

5 biggest winners and losers from Trump tariffs

Tariffs like these are often seen as a direct hit to automakers’ bottom lines because they drive up production costs and disrupt global supply chains. While companies with robust US-based supply chains could, in theory, gain a competitive edge as rivals reliant on foreign components face higher costs, industry analysts believe this new tax will spare few vehicle manufacturers.⁽⁶⁾

The automotive industry has complex, cross-border supply chains, meaning there is no car that is 100% made in America.⁽⁶⁾

And we see in automaker stock prices that no car manufacturer has been left unscathed.

As of market close on April 14, 2025, the biggest winners, if you can call them winners, from Trump’s tariffs are NWTN Inc., Honda, Porsche, BYD and REE Automotive. These stocks have seen the smallest decline since Trump’s tariff announcement on March 26, 2025.

The biggest losers are Mullen Automotive, Phoenix Motor, Polaris, Stellantis and Lotus Technology. These stocks have seen the largest share price decline since the tariff announcement.

• Biggest winners
• Biggest losers

The impact of auto tariffs on stocks of different regions

According to Wedbush Securities Inc. analyst Daniel Ives, Trump’s automobile tariffs “will cause pure chaos to the global auto industry” and increase the average price of cars sold in the US by as much as $10,000.⁽⁷⁾

And that’s what we’ve seen so far when looking at share prices.

According to our data, automaker stocks across the board responded negatively to President Trump’s 25% tariff announcement, with US carmaker stocks seeing the largest decline on average.

Impact on US automakers

It’s been a turbulent time for many US automakers, including Lucid Group stock (Lucid Motors), General Motors (GM) and Tesla (TSLA).

Impact on European automakers

There have been no winners in the European auto-making market, with Ferrari (RACE), Polestar (PSNY) and Porsche (DRPRY) all seeing major declines since the tariff rollout.

Impact on Asian automakers

Asian auto makers have also seen major dips since the tariffs were implemented.

Impact on Middle Eastern automakers

Middle Eastern automakers have seen many ups and downs (mostly downs) since the tariff announcement.

What are tariffs?

Tariffs are taxes that governments impose on goods entering or leaving a country, and they’re typically used to raise revenue, protect domestic industries or regulate international trade.⁽⁸⁾

Dating back thousands of years, tariffs have long been a tool of economic policy.⁽⁴⁾ They gained prominence in the US with the US Tariff Act of 1789, which aimed to protect domestic manufacturing and generate revenue, and have seen a resurgence in use as a policy tool under the Trump Administration.⁽⁹⁾

To make sure you get accurate and helpful information, this guide has been edited by Holly Jennings as part of our fact-checking process.

Written by

Matt Miczulski

Investments editor and market analyst

Add to Preferred Sources

Matt Miczulski is an investments editor and market analyst at Finder. With over 450 bylines, Matt dissects and reviews brokers and investing platforms to expose perks and pain points, explores investment products and concepts and covers market news, making investing more accessible and helping readers to make informed financial decisions. Before joining Finder in 2021, Matt covered everything from finance news and banking to debt and travel for FinanceBuzz. His expertise and analysis on investing and other financial topics has been featured on Yahoo Finance, CBS, MSN, Best Company and Consolidated Credit, among others. Matt holds a BA in history from William Paterson University. See full bio

Matt's expertise

Matt has written 295 Finder guides across topics including:

• Trading and investing
• Broker and trading platform reviews
• Money management

Co-written by

Richard Laycock

Editorial & PR Lead

Richard Laycock is Finder’s NYC-based lead editor & insights editor, spending the last decade data diving, writing and editing articles about all things personal finance. His musings can be found across the web including on NASDAQ, MoneyMag, Yahoo Finance and Travel Weekly. Richard studied Media at Macquarie University, including a semester abroad at The Missouri School of Journalism (MIZZOU). See full bio